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Pemex boosts power in Ku-Maloob-Zaap

State-run Pemex will spend about $120 million to increase electricity supplies to its biggest oilfield, the company said.

Pemex awarded the contract to build a power station and underwater cables to local company Demar Instaladora y Constructora.

The power station will supply seven drilling platforms, a Dow Jones Newswire reported.

Demar beat other bidders such as Mexico's Carso Infraestructura y Construccion (Cicsa).

Local units of Siemens and General Electric also registered as bidders.

Ku-Maloon-Zaap turned out 797,000 barrels per day on average during the first seven months of this year, surpassing Cantarell as Mexico's biggest producer.

Mexican oil production has fallen nearly 25% since peaking in 2004, and Pemex has increased investments in oil exploration and production to help compensate for plummeting output at Cantarell.

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